Capital market behavior and operational announcements of layoffs,operation closings,and pay cuts |
| |
| Authors: | Ji-Chai Lin Michael S Rozeff |
| |
| Institution: | (1) Department of Finance, College of Business Administration, Louisiana State University, 70803 Baton Rouge, LA;(2) Department of Finance and Managerial Economics, School of Management, State University of New York at Buffalo, 14260 Buffalo, NY |
| |
| Abstract: | This article examines the relation between stock returns and a set of operating decisions: layoffs, operation closings, and
pay cuts. We find evidence that cost-cutting measures occur after significant stock price declines. Announcements of layoffs
and temporary operation closings are associated with negative returns, while permanent operation closings do not have significant
announcement effects. |
| |
| Keywords: | operation closings cost-cutting shareholder wealth |
| 本文献已被 SpringerLink 等数据库收录！ |
|
